Earlier this year, the Coalition Government laid out a road map for resource management reform, with the final destination being a replacement to the Resource Management Act 1991 (RMA) [1].
The Honourable Chris Bishop has announced that the RMA will be replaced by two new and distinct acts: one dedicated to the natural environment to manage environmental effects arising from activities and the other focusing on urban development and infrastructure.
Phases one and two of the reform programme have seen the introduction of the Fast-Track Approvals Bill, Resource Management (Freshwater and Other Matters) Amendment Bill and a Second Amendment Bill expected to be introduced to Parliament by the end of the year and passed into law by mid-2025. These bills, and the pending review of national direction, have been preparatory steps in the transition to a new resource management system.
The Government has identified three main objectives for the new system, which are to be achieved while also safeguarding the environment:
- unlocking development for housing and business;
- enabling high quality infrastructure; and
- enabling primary sector growth.
We set out what you need to know about the policy direction for the new legislation below.
Clear and efficient regulations
Like the RMA, the new regime will be rules based, but the ability to control effects on the environment will be narrower so that only “material” adverse effects are controlled. There will be more national direction which will provide greater certainty for developers by setting minimum standards which must be met. RMA national direction, as amended by the Government as part of the phase two reforms, will be carried over into the new regime.
The number of district and regional plans will be reduced, by requiring the preparation of one plan per region. Although the Natural and Built Environments Act (now repealed) also proposed to streamline plans, a key difference is that there will be a quick transition to the new system, rather than a gradual replacement of planning documents over a ten year period.
Prioritising personal property rights
The policy direction for the new acts will be based on the enjoyment of property rights. The Government says that this will involve removing regulations that have previously allowed others to object to and restrict development on private property, and managing disputes via a new low-cost dispute resolution process available to property owners and councils.
Elevating the status of national standards
Activities that comply with a national standard will be exempt from resource consents requirements. The greater emphasis on national standards will see a shift away from requiring resource consents and towards monitoring and enforcing compliance with national standards.
To realise its commitment to support the delivery of more housing, the Government is also intending to make changes to the Infrastructure Funding and Financing Act 2020 to make it easier to apply the tools in the Act to the infrastructure required to support residential development, as well as changes to the development contributions regime to provide for new ways to fund bulk infrastructure. There will also be provision for spatial planning.
An Expert Advisory Group chaired by resource management barrister Janette Campbell will work alongside the Ministry for the Environment to have the core features of the new resource management system before Cabinet by the end of 2024. Public consultation will be enabled via the Select Committee process and direct discussions with key stakeholders. It is anticipated that the new legislation will be introduced and passed before the end of 2026.
Please reach out to one of our experts if you would like more information about the reform programme and how it might affect you.
This article was co-authored by Aimee Harris, a Law Clerk in our Environment team
Footnote
1. For further details, see our alert dated 25 March 2024.
